Cineplex Galaxy Income Fund Reports First Quarter Results.TORONTO Toronto (tərŏn`tō), city (1998 est pop. 2,400,000), provincial capital, S Ont., Canada, on Lake Ontario. Toronto is the largest city in Canada and since the 1970s has been one of the fastest-changing cities in North America, experiencing -- Cineplex Galaxy Income Fund (the "Fund") (TSX TSX Toronto Stock Exchange (TSE before April, 2002) TSX Transfer from Stack Pointer to Index TSX True Space Extension :CGX CGX Consolidated Graphics Inc. CGX Meigs Field, Chicago, Illinois (Airport Code) .UN) today released the financial results of Cineplex Galaxy Limited Partnership (the "Partnership"), for the first quarter of 2005. First Quarter Results - Total revenues for the quarter were $78.3 million compared to $79.0 million for 2004 - down 1.0%. - Box office revenue decreased by 4.5% compared to the Canadian Canadian (kənā`dēən), river, 906 mi (1,458 km) long, rising in NE New Mexico. and flowing E across N Texas and central Oklahoma into the Arkansas River in E Oklahoma. industry decline of 5.6%. - Concession CONCESSION. A grant. This word is frequently used in this sense when applied to grants made by the French and Spanish governments in Louisiana. per patron hits a record high of $3.07, the highest quarterly result to date, up 4.1% from the prior year. - Other revenues increased 28.6% to $5.2 million primarily due to higher advertising sales. - EBITDA (Earnings Before Interest, Taxes, Depreciation and Amortization) A metric used to show a company's profitability, but not its cash flow. EBITDA became popular in the 1980s to show the potential profitability of leveraged buyouts, but has become for the quarter was $12.0 million compared to $15.1 million for 2004 - down 20.6% due to the decline in box office volume and other one-time one-time adj. 1. or one·time a. Occurring or undertaken only once: a one-time winner in 1995. b. charges. - Distributable cash flow per unit for the quarter was $0.1709 compared to a declared de·clare v. de·clared, de·clar·ing, de·clares v.tr. 1. To make known formally or officially. See Synonyms at announce. 2. To state emphatically or authoritatively; affirm. 3. distribution of $0.2874. "While the exhibition industry suffered from a quarter of lacklustre lacklustre or US lackluster Adjective lacking brilliance, force, or vitality Adj. 1. lacklustre - lacking brilliance or vitality; "a dull lackluster life"; "a lusterless performance" film product we are encouraged by our achievements in concession revenues and other income. Our concession revenue per patron increased to a new quarterly record of $3.07 and our other income increased 28.6% primarily as a result of our ongoing focus in this area. This of course excludes the results of our new digital advertising network which was launched in the extended Toronto market on April 1," said Ellis ELLIS - EuLisp LInda System. An object-oriented Linda system written for EuLisp. "Using Object-Oriented Mechanisms to Describe Linda", P. Broadbery <pab@maths.bath.ac.uk> et al, in Linda-Like Systems and Their Implementation, G. Wilson ed, U Edinburgh TR 91-13, 1991. Jacob Jacob (jā`kəb), in the Bible, ancestor of the Hebrews, the younger of Isaac and Rebecca's twin sons; the older was Esau. In exchange for a bowl of lentil soup, Jacob obtained Esau's birthright and, with his mother's help, received the blessing , President and CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. . EBITDA is not an earnings measures recognized by generally accepted accounting principles The standard accounting rules, regulations, and procedures used by companies in maintaining their financial records. Generally accepted accounting principles (GAAP) provide companies and accountants with a consistent set of guidelines that cover both broad accounting and do not have a standardized standardized pertaining to data that have been submitted to standardization procedures. standardized morbidity rate see morbidity rate. standardized mortality rate see mortality rate. meaning in accordance Accordance is Bible Study Software for Macintosh developed by OakTree Software, Inc.[] As well as a standalone program, it is the base software packaged by Zondervan in their Bible Study suites for Macintosh. with such principles. Therefore, EBITDA may not be comparable to similar measures presented by other corporations. EBITDA is calculated by adding back to net income income tax expense, amortization, interest expense, non-controlling interest and eliminating from net income interest income. First Quarter Results The first quarter of 2005 was characterized char·ac·ter·ize tr.v. character·ized, character·iz·ing, character·iz·es 1. To describe the qualities or peculiarities of: characterized the warden as ruthless. 2. by a lack of successful film product. Total revenue for the first quarter decreased 1.0% to $78.3 million for the quarter. Cineplex Galaxy's box office revenue was down 4.5% for the quarter, ahead of the Canadian exhibition industry which was down 5.6% for the quarter. As exhibitors do not control the quality of film product on-screen on·screen or on-screen adj. & adv. 1. As shown on a movie, television, or display screen. 2. Within public view; in public. , we continue to focus on increasing our concession revenues and other income. Concession revenue increased 2.3% this quarter, as a result of a $0.12 or 4.1% increase in average concession revenue per patron offset by a 1.8% attendance decline. Our average concession revenue per patron amount of $3.07 was a new record for Cineplex Galaxy. Other income increased 28.6% this quarter, over the prior year to $5.2 million. This now makes three consecutive quarters where we have shown increases in other income greater than 20% versus the prior year. Earnings before interest, taxes, depreciation and amortization Earnings before interest, taxes, depreciation and amortization (EBITDA) is a non-GAAP metric that can be used to evaluate a company's profitability.
adj. 1. Almost exact or correct: the approximate time of the accident. 2. $1.0 million related to the investigation of strategic acquisition opportunities and the establishment of an information technology department in the Canadian office as we repatriate repatriate To bring home assets that are currently held in a foreign country. Domestic corporations are frequently taxed on the profits that they repatriate, a factor inducing the firms to leave overseas the profits earned there. our IT services back from the United States United States, officially United States of America, republic (2005 est. pop. 295,734,000), 3,539,227 sq mi (9,166,598 sq km), North America. The United States is the world's third largest country in population and the fourth largest country in area. . Distributable Cash For the first quarter of 2005 distributable cash flow per unit was $0.1709 and the declared distribution per unit for this period was $0.2874. For the twelve months ended December December: see month. 31, 2004 distributable cash flow per unit was $1.2283 and the declared distribution was $1.1496. About Cineplex Galaxy The Partnership acquired substantially all of the assets of Cineplex Odeon O`de´on n. 1. A kind of theater in ancient Greece, smaller than the dramatic theater and roofed over, in which poets and musicians submitted their works to the approval of the public, and contended for prizes; - hence, in modern usage, the Corporation ("Cineplex"), the Canadian film exhibition business of Loews The name Loews can refer to several articles in the Wikipedia:
v. To bring together, as cut edges of tissue. adj. 1. Relating to the contact surfaces, either proximal or distal, of two adjacent teeth; proximate. 2. Close together. 42.4% interest in the Partnership. The Partnership owns, operates or has an interest in 86 theatres with 775 screens in Canada Canada (kăn`ədə), independent nation (2001 pop. 30,007,094), 3,851,787 sq mi (9,976,128 sq km), N North America. Canada occupies all of North America N of the United States (and E of Alaska) except for Greenland and the French islands of , and is the second largest film exhibition company in the country. The Partnership operates theatres under the Cineplex Odeon and Galaxy brands. Cineplex Odeon has enjoyed an important urban market presence in Canada for over 20 years and Galaxy has become a leading entertainment destination in mid-sized communities. Further information can be found in the disclosure documents filed by the Fund with the securities regulatory authorities Noun 1. regulatory authority - a governmental agency that regulates businesses in the public interest regulatory agency administrative body, administrative unit - a unit with administrative responsibilities , available at www.sedar.com. You are cordially invited to participate in a teleconference call with the management of Cineplex Galaxy LP (TSX:CGX.UN) to review the Company's first quarter. Ellis Jacob, Chief Executive Officer and Gord n. 1. An instrument of gaming; a sort of dice. Nelson, Chief Financial Officer, will host the call. The teleconference call is scheduled for:
Tuesday, May 3, 2005
10:30 a.m. Eastern Time
In order to participate in the conference call, please dial (416) 640-4127 or outside of Toronto dial 1-800-814-4862 at least ten minutes prior to 10:30 a.m. Eastern Time on Tuesday Tuesday: see week. , May 3, 2005. - Please RSVP (ReSerVation Protocol) A communications protocol that signals a router to reserve bandwidth for real time transmission. RSVP is designed to clear a path for audio and video traffic, eliminating annoying skips and hesitations. to Pat Marshall Marshall. 1 City (1990 pop. 12,711), seat of Saline co., N central Mo.; inc. 1839. In a large farm area, it is a processing center for grain, eggs, meat, and dairy products. Marshall is the seat of Missouri Valley College. at pmarshall@cineplexgalaxy.com if you wish to participate. -If you cannot participate in the live mode, a replay will be available. Please dial 416-640-1917 or 1-877-289-8525 and enter code 21120707#. The replay will begin at 1:30 p.m. on Tuesday, May 3, 2005 and end at 11:59 p.m. ET on Tuesday, May 10, 2005. - Note that media will be participating in the call in listen - only mode. - Thank you in advance for your interest and participation.
Cineplex Galaxy Limited Partnership
Consolidated Balance Sheets
---------------------------------------------------------------------
(expressed in thousands of Canadian dollars)
March 31, December 31,
2005 2004
(Unaudited)
Assets
Current assets
Cash and cash equivalents $ 24,143 $ 38,663
Restricted cash - 7,637
Accounts receivable 7,439 10,937
Inventories 1,870 2,123
Prepaid expenses and other current assets 3,437 2,680
Due from related parties 10 4
----------------------------
36,899 62,044
Property, equipment and leaseholds 233,539 234,854
Goodwill 22,942 22,942
Future income taxes 1,615 1,615
Deferred charges and other intangibles 3,668 3,975
----------------------------
$ 298,663 $ 325,430
----------------------------
----------------------------
Liabilities
Current liabilities
Accounts payable and accrued expenses $ 24,280 $ 27,654
Distributions payable 3,390 10,996
Due to related parties - 373
Income taxes payable 119 153
Deferred revenue 8,721 13,580
Current portion of long-term debt 51 52
----------------------------
36,561 52,808
Long-term debt 126,500 125,512
Due to Cineplex Galaxy Trust 100,000 100,000
Accrued pension liability 559 589
Other liabilities 88,824 89,784
----------------------------
352,444 368,693
Partners' Deficiency
Partners' deficit (53,781) (43,263)
----------------------------
$ 298,663 $ 325,430
----------------------------
----------------------------
Cineplex Galaxy Limited Partnership
Consolidated Statements of Operations
(Unaudited)
---------------------------------------------------------------------
(expressed in thousands of Canadian dollars)
Three months Three months
ended ended
March 31, March 31,
2005 2004
Revenue
Box office $ 51,398 $ 53,835
Concessions 21,626 21,131
Other 5,235 4,073
----------------------------------
78,259 79,039
----------------------------------
Expenses
Film cost 25,897 26,640
Cost of concessions 4,445 4,280
Occupancy 13,933 13,237
Other theatre operating expenses 16,969 16,377
General and administrative 4,894 3,267
Management fee 153 165
----------------------------------
66,291 63,966
----------------------------------
Income before undernoted 11,968 15,073
Amortization 6,524 5,435
Gain on disposal of theatre assets - (6)
Interest on long-term debt 2,206 2,001
Interest on loan from Cineplex Galaxy Trust 3,500 3,500
Interest income (118) (94)
----------------------------------
(Loss) income before income taxes (144) 4,237
Current income tax 55 36
----------------------------------
Net (loss) income for the period $ (199) $ 4,201
----------------------------------
----------------------------------
Cineplex Galaxy Limited Partnership
Consolidated Statements of Partners' Deficiency
(Unaudited)
---------------------------------------------------------------------
(expressed in thousands of Canadian dollars)
For the three months ended March 31, 2005
Partners' Accumulated Accumulated
capital Deficit earnings distributions Total
Balance -
January 1,
2005 $ 110,203 $ (147,795) $ 38,949 $ (44,620) $(43,263)
Distributions
declared - - - (10,170) (10,170)
Investment in
Cineplex Galaxy
Income
Fund units (282) - - - (282)
LTIP compensation
obligation 133 - - - 133
Net loss for
the period - - (199) - (199)
--------------------------------------------------------
Balance -
March 31,
2005 $ 110,054 $ (147,795) $ 38,750 $ (54,790) $ (53,781)
--------------------------------------------------------
--------------------------------------------------------
For the three months ended March 31, 2004
Partners' Accumulated Accumulated
capital Deficit earnings distributions Total
Balance -
January 1,
2004, as
previously
reported $ 110,425 $ (147,698) $ 8,707 $ (3,937) $(32,503)
Adoption of
asset
retirement
obligation
standard - (121) (6) - (127)
--------------------------------------------------------
Balance -
January 1,
2004, as
restated 110,425 (147,819) 8,701 (3,937) (32,630)
Distributions
declared - - - (10,104) (10,104)
Net income for
the period - - 4,201 - 4,201
--------------------------------------------------------
Balance -
March 31,
2004 $ 110,425 $ (147,819) $ 12,902 $ (14,041) $(38,533)
--------------------------------------------------------
--------------------------------------------------------
Cineplex Galaxy Limited Partnership
Consolidated Statements of Cash Flows
(Unaudited)
---------------------------------------------------------------------
(expressed in thousands of Canadian dollars)
Three months Three months
ended ended
March 31, March 31,
2005 2004
Cash provided by (used in)
Operating activities
Net (loss) income for the period $ (199) $ 4,201
Adjustments to reconcile net income
to net cash used in operating activities
Amortization of property, equipment
and leaseholds 6,524 5,435
Amortization of tenant inducements and
rent averaging liabilities (1,301) (1,196)
Amortization of debt issuance costs 235 204
Gain on disposal of theatre assets - (6)
Changes in operating assets and liabilities (6,329) (14,933)
-------------------------
(1,070) (6,295)
-------------------------
Investing activities
Proceeds from sale of theatre assets 6 6
Capital expenditures (5,141) (2,072)
Cash transferred to segregated account
for future distributions (691) (1,383)
Cash received from segregated account
for distribution 8,297 -
-------------------------
2,471 (3,449)
-------------------------
Financing activities
Borrowings under credit facility 1,000 4,000
Distributions paid (17,776) (9,290)
Tenant inducements 1,291 300
Repayment of long-term debt (13) (10)
Investment in Cineplex Galaxy
Income Fund units (423) -
-------------------------
(15,921) (5,000)
-------------------------
Decrease in cash and cash equivalents
during the period (14,520) (14,744)
Cash and cash equivalents
- Beginning of period 38,663 43,527
-------------------------
Cash and cash equivalents - End of period $ 24,143 $ 28,783
-------------------------
-------------------------
Supplemental information
Cash paid for interest $ 5,394 $ 4,902
Cash paid for income taxes - net $ 64 $ 60
Cineplex Galaxy Limited Partnership
Consolidated Supplemental Information
(Unaudited)
(expressed in thousands of Canadian dollars,
except number of units and per unit data)
Reconciliation to EBITDA
Three months Three months
ended ended
March 31, March 31,
2005 2004
Net Income $ (199) $ 4,201
Add Back :
Amortization 6,524 5,435
Interest expense on long-term debt 2,206 2,001
Interest expense on loan from
Cineplex Galaxy
Trust 3,500 3,500
Other interest income (118) (94)
Income tax expense 55 36
-------------------------------
EBITDA $ 11,968 $ 15,079
-------------------------------
-------------------------------
Distributable Cash
Three months Three months
ended ended
March 31, March 31,
2005 2004
Cash used in operating activities $ (1,070) $ (6,295)
Less:
Changes in operating assets and
liabilities (i) 6,329 14,933
Total capital expenditures (5,141) (2,072)
Add:
Interest on loan from Cineplex
Galaxy Trust (ii) 3,500 3,500
New theatre and Project capital
expenditures (iii) 4,195 1,720
POS/Rebranding capital expenditures (iv) 316 -
-------------------------------
Distributable Cash $ 8,129 $ 11,786
-------------------------------
-------------------------------
Number of Units outstanding
(fully diluted) 47,566,974 47,566,974
Distributable cash per Unit
(fully diluted) $ 0.1709 $ 0.2478
(i) Changes in operating assets and liabilities are not considered
a source of distributable cash
(ii) Subject to "Catch-up Payment" provision and is considered part
of distributable cash
(iii) The total capital expenditures noted above includes new theatre
and maintenance capital expenditures of which the new theatre
capital expenditures are funded out of the Partnership's
Development Facility and therefore are added back to calculate
distributable cash
(iv) Point-of-Sale ("POS") and rebranding capital expenditures are
funded out of a $5.5 million reserve fund established on
November 26, 2003.
Cineplex Galaxy Income Fund (TSX:CGX.UN) |
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